EU/IMF programme for support

Information on the EU-IMF Programme

Government Announcement

The Government today (28 November 2010) announced the provision of €85 billion of financial support to Ireland by Member States of the European Union through the European Financial Stability Fund and the European Financial Stability Mechanism, bilateral loans from the UK, Sweden and Denmark, and the International Monetary Fund's Extended Fund Facility on the basis of specified conditions.

Frequently Asked Questions

This Frequently Asked Questions (FAQs) section gives answers to the top questions asked by the public in relation to the announcement of the joint EU-IMF Programme for Ireland and offers links to more detailed information about the topic where possible.

If you still have questions in relation to the information in the announcement, you can contact the Central Bank helpline, 1890 777777, which will be open on Monday 29 November from 08.00 - 20.00. You can also contact the Public Contacts Unit at enquiries@centralbank.ie

Q1. What does the recent Government announcement mean?

The Government has concluded an agreement with the EU and IMF that provides €85bn in financial support to Ireland. The purpose of the support offered to Ireland is to help the Irish economy return to sustainable growth and to ensure that the Irish banking system is fully capitalised and liquid. These actions will result in a stronger and more stable banking system for the benefit of depositors and investors.

Q2. What does this mean for customers of Irish Banks?

You should continue to carry on your banking business as normal. These proposals are a very positive development for customers of Irish banks as they provide greater stability and confidence in the banking system. It increases the financial resources of the banks so customers can have certainty in conducting their normal banking business.

Q3. Do I need to do anything?

You do not need to take any action as a result of this announcement. You should continue to carry on your banking business as normal.

Q4. Is the Irish Deposit Guarantee Scheme still in place?

Yes. Deposits in Irish Banks are covered under the Deposit Guarantee Scheme (DGS) up to €100,000 per person, per institution. The DGS was established under European Directive, 94/19/EC (as amended), so it is established under European law. It guarantees deposits in Irish banks, building societies and credit unions up to €100,000 per person per institution. In addition, all deposits in participating Irish banks are covered under the Eligible Liabilities Guarantee (ELG) otherwise known as the government guarantee scheme until December 2011.

Q5. What does the announcement mean for my bank?

The announcement provides for substantial resources to be available to the banks; in practice, it strengthens the financial position of AIB, Bank of Ireland, EBS, and Irish Life &Permanent.

Q6. What is happening to Anglo Irish Bank and Irish Nationwide Building Society?

You should continue to carry on your banking business with Anglo Irish Bank and Irish Nationwide Building Society as normal. For these two institutions, a restructuring plan will be completed and submitted for EU State Aid approval. The objective is to submit and agree this plan by the end of January 2011; however, there are no details available yet. In the meantime, all deposit holders continue to be guaranteed under the Deposit Guarantee Scheme.

Q7. Where can I get more information on the announcement?

If your question is in relation to your normal banking business, please contact your bank directly at the number below. If you have further questions on the announcement, you will find all the relevant statements linked to on this page or you can ring 1890 77 77 77.